Construction is expected to begin this fall on two speculative warehouses in Northridge 80|35 Business Park, a 60-acre distribution center and warehouse development on the northwest corner of East 14th Street and Broadway Avenue in Des Moines.

The first phase of the development – two warehouses with a total of 350,000 square feet of space – are complete. Increased tenant activity has sparked the move to start the development’s next phase, Dan Schwab, a project manager for Opus Group, wrote in a letter to the city.

The development’s second phase will include the construction of two warehouses, one that will be 196,538 square feet and the other, 264,674 square feet. Project costs for the two buildings are estimated at $55 million.

The city’s Urban Des Moines Review Board this week approved the project’s designs, which will be similar to the first two buildings. The board also approved the financial assistance package that includes a tax increment finance economic grant of no more than $3.89 million.
When completed, the valuation of the two buildings and the land they sit on are estimated to be $42.9 million, according to city documents.

The Northridge 80|35 Business Park is being developed on a site where a regional shopping center was once proposed. When completed, the new development is expected to add more than 1 million square feet of Class A industrial space to the metro area.

The property is owned by Ilex Group Inc., a subsidiary of Edina, Minn.-based Jerry’s Enterprises. Opus Group is the project’s developer, architect, structural engineer and the contractor.